Nonrefundable Tax Credits:

2007 NONREFUNDABLE LOUISIANA CHILD CARE CREDIT

• If the individual's federal adjusted gross income is $25,000 or less, the Louisiana credit is refundable.
• If the individual's federal adjusted gross income is over $25,000 and less than or equal to $35,000, the nonrefundable Louisiana credit is 30% of the federal child care tax credit. Any unused credit can be carried over for five years.
• If the individual's federal adjusted gross income is over $35,000 and less than or equal to $60,000, the nonrefundable Louisiana credit is 10% of the federal child care tax credit. Any unused credit can be carried over for five years.
• If the individual's federal adjusted gross income is over $60,000, the nonrefundable Louisiana credit is the lesser of $25 or 10% of the federal child care tax credit. Any unused credit can be carried over for five years.

EDUCATION CREDIT A credit of $25 is allowed for each dependent child claimed on Line 6C who attended school from kindergarten through 12th grade for at least part of the year.
SCHEDULE G CREDITS :
CREDIT FOR NET INCOME TAX LIABILITIES PAID TO OTHER STATES (R.S. 47:33) If you were a resident of Louisiana for the entire year, you are allowed a credit for the net income tax liabilities paid to one or more states of the United States. Please note the "net income tax liability" is generally not the amount withheld. No credit may be claimed for taxes paid to cities, the District of Columbia, or foreign countries. The credit allowed on your Louisiana return must be for the same taxable year for which the tax was paid to the other state(s).
CREDIT FOR CERTAIN DISABILITIES - (R.S. 47:297(A)) A credit of $100 against the tax is permitted for the taxpayer, spouse, or dependent who is deaf, has lost the use of a limb, mentally incapacitated, or blind. Only one credit is allowed per person. The disability must exist at the end of the taxable year, or if death occurred during the taxable year, at the date of death. If you are claiming this credit for the first time, a physician’s statement certifying the disability is required. If one is not submitted with the return, it will be requested later. For purposes of this credit, DEAF is defined as one who cannot understand speech through auditory means alone (even with the use of amplified sound) and must either use visual means or rely on other means of communication. LOSS OF LIMB is defined as one who has lost one or both hands at or above the wrist or one or both feet at or above the ankle. This credit also applies if use of the limb or limbs has been permanently lost. MENTALLY INCAPACITATED is defined as one who is incapable of caring for himself or performing routine daily health requirements due to his mental condition. BLIND is defined as one who is totally blind or whose central field of acuity does not exceed 20/200 in the better eye with correcting lenses or whose visual acuity is limited to a field no greater than 20 degrees.
CREDIT FOR CONTRIBUTIONS TO EDUCATIONAL INSTITUTIONS - (R.S. 47:37) Taxpayers who donate computer equipment to educational institutions are allowed a credit of 40 percent (.40) of the value of the property donated against their Louisiana income tax. The recipient certifies the donation of property by using the Certificate of Donation, Form R-3400. This form is available on the Department’s website at www.revenue.louisiana.gov. The completed certification form must be attached to the individual income tax return. Round to the nearest dollar.
CREDIT FOR CERTAIN FEDERAL CREDITS - (R.S. 47:297(B))Taxpayers are allowed a credit of 10 percent (.10) of the following credits: a credit for the elderly found on Federal Form 1040A, Line 30 or Federal Form 1040, Line 48; a foreign tax credit, Federal Form 1040, Line 51; a residential energy credit, Federal Form 1040, Line 50; plus 10 percent (.10) of any investment credit or jobs credit computed on Federal Form 3800. If the credit was not utilized on the federal return because of the alternative minimum tax, you must reduce this amount by the portion of the credit that was not utilized. Multiply the amount of the credit by 10 percent (.10) and print the result or $25, whichever is less.
PREMIUM TAX CREDIT – R.S. 47:227 provides a credit against Louisiana income tax for premium taxes paid during the preceding 12 months by an insurance company authorized to do business in Louisiana. The credit may be passed to individuals through certain legal entities (e.g. partnership).
COMMERCIAL FISHING CREDIT - R.S. 47:297(C) provides a credit for the amount of gasoline and special fuels taxes paid for operating or propelling any commercial fishing boat. Attach a schedule listing all invoices and taxes paid.
FAMILY RESPONSIBILITY CREDIT (LIMITED TO $200) - R.S. 47:297(F) provides a credit against an individual’s income tax for the amount contributed in a family responsibility program under the provisions of R.S. 46:449. The amount of this credit shall not exceed 331/3 percent (.333) of the contribution or $200 per year, whichever is less.
CREDIT FOR SMALL TOWN DOCTORS AND DENTISTS - R.S. 47:297(H) provides a credit for a certified medical doctor possessing an unrestricted license from the State of Louisiana to practice medicine, or a dentist licensed by the State of Louisiana to practice dentistry, in certain geographic areas of Louisiana. The credit is limited to $5,000.
BONE MARROW DONOR EXPENSE CREDIT - R.S. 47:297(I) provides a credit to employers authorized to do business in the state, who incur bone marrow donor expense by developing a bone marrow donation program, educating employees related to bone marrow, making payments to a health care provider for determining tissue types of potential donors, and paying wages to an employee for time related to tissue typing and bone marrow donation. The wage expense used to obtain the credit cannot be deductible as an expense for income tax purposes. The amount of the credit is equal to 25% (.25) of the bone marrow expense paid or incurred by the employer during the tax year.
CREDIT FOR LAW ENFORCEMENT EDUCATION - R.S. 47:297(J) provides a credit for certain law enforcement officers and specified employees of the Department of Public Safety and Corrections for specific post-secondary educational expenses incurred in the pursuit of an undergraduate degree related to law enforcement. The credit is limited to the amount of tax liability or one hundred percent of the educational expenses, or $750, whichever is less.
CREDIT FOR EMPLOYMENT OF CERTAIN FIRST-TIME DRUG OFFENDERS - R.S. 47:297(K) provides a credit for a taxpayer who provides full-time employment to an individual who has been convicted of a first time drug offense and who is less than twenty-five years of age at the time of initial employment.
CREDIT FOR PURCHASE OF A BULLETPROOF VEST - R.S. 47:297(L) provides a credit for the purchase of a bulletproof vest for certain law enforcement personnel as designated in the statute. The credit is limited to $100.
CREDIT FOR THE EMPLOYMENT OF NONVIOLENT OFFENDERS – R.S. 47:297 (O) provides a credit for a taxpayer who provides full-time employment to an individual who has been convicted of a first time nonviolent offense.
CREDIT FOR QUALIFIED PLAYGROUNDS - R.S.47:6008 provides a credit against Louisiana income tax for donations to assist qualified playgrounds. The credit shall be an amount equal to the lesser of $1,000 or one-half of the value of the cash, equipment, goods, or services donated.
DEBT ISSUANCE – R.S. 47:6017 provides a credit against Louisiana income tax for the filing fee incurred by an economic development corporation in the preparation and issuance of bonds and paid to the Louisiana State Bond Commission.
EMPLOYEE AND DEPENDENT HEALTH INSURACE CREDIT – R.S.47:287.759 provides a credit against Louisiana income tax for a contractor or subcontractor who offers health insurance coverage to full-time employees and their dependents. For more information regarding this credit, see Louisiana Administrative Code (LAC) 61:I.1195 on the Department’s website.
DONATIONS OF MATERIALS, EQUIPMENT, ADVISORS, AND INSTRUCTORS – R.S.47:6012 provides a credit for employers within the state for donations of the latest technology available in materials, equipment, or instructors to public training providers, secondary and postsecondary vocational-technical schools, apprenticeship programs registered with the Louisiana Department of Labor, or community colleges to assist in the development of training programs designed to meet industry needs. The credit is equal to 50 percent (.50) of the value of the donated materials, equipment, or services rendered by the instructor. When taken with other applicable credits, this credit cannot exceed 20 percent (.20) of the employer’s tax liability for any taxable year.
ATCHAFALAYA TRACE – R.S. 25:1226.4 provides a credit to certain heritage-based cottage industries. The taxpayer must enter into a contract with the State Board of Commerce and Industry to qualify for this credit.
ORGAN DONATION – R.S. 47:297 (N) provides a credit to offset certain expenses incurred by an individual and/or spouse for a living organ donation.
CREDIT FOR MAINTAINING A HOUSEHOLD FOR CERTAIN DISABLED DEPENDENTS - R.S. 47:297.2 provides a credit against the individual income tax for a person who maintains a household that includes one or more dependents who are physically or mentally incapable of caring for themselves. The credit is equal to the applicable percentage of employment-related expenses allowable pursuant to Section 21 of the Internal Revenue Code
CREDIT FOR CONVERTING VEHICLES TO ALTERNATIVE FUELS USAGE - R.S. 47:38 provides a credit for the conversion of a vehicle to an alternative fuel source. You must attach documentation verifying the conversion.
CREDIT FOR EMPLOYMENT OF THE PREVIOUSLY UNEMPLOYED - R.S. 47:6004 provides that business proprietors are possibly eligible for a credit for hiring the previously unemployed.
RECYCLING CREDIT – R.S.47:6005 provides a credit for the purchase of certain equipment and/or service contracts related to recycling. The credit must be certified by the Louisiana Department of Environmental Quality and a copy of the certification must be attached.
LOUISIANA BASIC SKILLS TRAINING TAX CREDIT - R.S. 47:6009 provides a credit against Louisiana income tax for employers who pay for training to bring employees’ reading, writing, or mathematical skills to at least the 12th grade level. The credit is limited to $250 per participating employee, not to exceed $30,000.
BROWNFIELD INVESTOR CREDIT – R.S. 47:6021 provides a credit to individuals to encourage the cleanup, redevelopment, and productive reuse of brownfields sites in the state. The credit is obtained through the Department of Economic Development and the Department of Environmental Quality.
CREDIT FOR DONATIONS TO THE DEDICATED RESEARCH INVESTMENT FUND - R.S. 51:2203 provides a credit of 35 percent (.35) of a cash donation of $200,000 or more to the Dedicated Research Investment Fund administered by the Louisiana Board of Regents. The Board of Regents must certify that the person is qualified for the credit. You must attach a copy of your certification to the return.
NEW JOBS CREDIT – R.S. 47:34 and R.S. 47:287.749 provide a credit to employers who establish or expand a business in the state. A schedule that includes the calculation of the credit must be attached to the return and must also include the following information: (1) name, address, and Social Security Number of each new employee; (2) highest number of full-time and qualified part-time employees during the previous year; (3) highest number of full-time and part-time employees during the current year; (4) number of new employees hired for new jobs created during this taxable year; and (5) amount of credit carried forward from the previous year.
REFUND BY UTILITIES CREDIT – R.S. 47:287.664 provides a credit for certain court ordered refunds made by utilities to its customers.
ELIGIBLE RE-ENTRANTS CREDIT  - R.S. 47:287.748 provides a credit to encourage the employment of full-time jobs in the state of Louisiana of re-entrants who have been convicted of a felony and who have successfully completed the Intensive Incarceration Program as provided in R.S. 15:574.4.
NEIGHBORHOOD ASSISTANCE – R.S. 47:35 and R.S. 47:287.753 provide a credit for an entity engaged in the activities of providing neighborhood assistance, job training, education for individuals, community services, or crime prevention in the state of Louisiana. The tax credit is limited to 70 percent (.70) of the actual amount contributed for investment in programs approved by the commissioner of administration or his successor. Such credit shall not exceed $250,000 annually.
CANE RIVER HERITAGE – R.S. 47:6026 provides a credit for a heritage-based cottage industry located or to be located in the Cane River Heritage Area Development Zone. The taxpayer must enter into a contract with the Department of Culture, Recreation, and Tourism.
LA COMMUNITY ECONOMIC DEVELOPMENT – R.S. 47:6031 provides a credit for the amount of money donated, contributed, or represented by a sale below cost by the taxpayer to a certified community development corporation or a certified community development financial institution. The must be certified and approved by the Department of Economic Development.
MOTION PICTURE INVESTOR TAX CREDIT - R.S. 47:6007 provides a credit for an individual taxpayer residing in Louisiana who invests in a state-certified motion picture production. Please refer to Revenue Information Bulletin (RIB) 06-004 on the Department’s website.
RESEARCH AND DEVELOPMENT TAX CREDIT - R.S. 47:6015 provides a credit for any taxpayer who claims for the taxable year a federal income tax credit under 26 U.S.C. §41(a) for increasing research activities.
CREDIT FOR REHABILITATION OF HISTORIC STRUCTURES - R.S. 47:6019 provides a credit if the taxpayer incurs certain expenses during the rehabilitation of a historic structure located in a Downtown Development District.
DIGITAL INTERACTIVE MEDIA – R.S. 47:6022 provides a credit to individuals for the investment in businesses specializing in digital interactive media. The credit is obtained through the Department of Economic Development and documentation from that agency must be attached to the return.
CREDIT FOR EMPLOYMENT IN A QUALIFIED MOTION PICTURE PRODUCTION - R.S. 47:1125.1 provides a credit against Louisiana income tax for the employment of residents of Louisiana in connection with the production of a motion picture. The credit may flow to an individual via a partnership, limited liability company, Subchapter S Corporation, or other entity. Please contact the Department for information on qualifying for this credit.
LOUISIANA CAPITAL COMPANIES CREDIT - R.S. 51:1924 provides a credit for any person who invests in the certified capital of a certified Louisiana Capital Company. The credit must be certified by the commissioner of the Office of Financial Institutions. LCDFI – R.S. 51:3081 et.seq. provides a credit to encourage the expansion of businesses in economically distressed areas. The Louisiana Office of Financial Institutions administers this program.
NEW MARKETS TAX CREDIT - R.S. 47:6016 provides a credit if the taxpayer makes certain qualified low-income community investments. Please contact the Department for information on qualifying for this credit.
LOUISIANA BIOMEDICAL RESEARCH AND UNIVERSITY RESEARCH AND DEVELOPMENT PARKS - R.S. 46:813.1 and R.S. 17:3389 provide credits against the Louisiana individual income tax to persons who establish research activities in either a Biomedical or University Research and Development Park.
CREDIT FOR TAX EQUALIZATION - R.S. 47:3202 provides a credit for tax equalization for certain businesses locating in Louisiana.
CREDIT FOR CERTAIN MANUFACTURING ESTABLISHMENTS - R.S. 47:4305 provides a credit to certain manufacturing establishments that have entered into a contract with the Department of Economic Development.
ENTERPRISE ZONE CREDIT - R.S. 51:1782 et. seq. provides a credit against the Louisiana individual income tax for private sector investment in certain areas designated as "Enterprise Zones."